Same taxpayer but he wins $500,000 during the year and loses $505,000
as a casual gambler.
IRS tax: $2,264 CT tax: $25,800 = tax penalty $27,581

Same taxpayer but he wins $500,000 during the year and loses $505,000
as a professional gambler and has $5,000 of transportation expense and
office expense.
IRS tax: $zero CT tax: zero = tax savings $28,064
* may need a separate entity to trade through to gain professional
gambler status.

Same taxpayer but he wins $500,000 during the year and loses $505,000
as a casual gambler.
IRS tax: $20,190 CT tax: $30,800 = tax penalty $27,420

Same taxpayer but he wins $500,000 during the year and loses $505,000
as a professional gambler and has $5,000 of transportation expense and
office expense.
IRS tax: $16,575 CT tax: $5,410 = tax savings $29,005
* may need a separate entity to trade through to gain professional
gambler status.

Same taxpayer but he wins $500,000 during the year and loses $400,000
as a casual gambler.
IRS tax: $50,505 CT tax: $30,800 = tax penalty $27,420

Same taxpayer but he wins $500,000 during the year and loses $400,000
as a professional gambler and has $5,000 of transportation expense and
office expense.
IRS tax: $50,854 CT tax: $10,486 = tax savings $19,965
* may need a separate entity to trade through to gain professional
gambler status.